1-26-2024 8:29am

New Mexico HB41 A Potential Alternative Fuel Jobs Creator

Chris Edwards Editor

The logical next step is to grow New Mexico’s economy with renewable fuel production facilities and if New Mexico gets onboard early it has the potential to create jobs and an alternative to the unreliability of charging in the cold of electric cars. It is an option as a stop gap to transition to cleaner fuel choices, help lower ground level ozone and create skilled high paying jobs.

The states of California, Washington and Oregon have already adopted a Clean Fuel Standard. Numerous other states across the country, including Colorado, Illinois, Michigan, Minnesota, Nebraska, New York, and Ohio, are evaluating the adoption of such programs. Early adoption of a Clean Fuel Standard provides an opportunity to attract low-carbon intensity fuel businesses to New Mexico that will have growth markets when other states adopt similar programs.

Otero County already is benefitting from renewable energy jobs creations in solar with a major project proposed for near Tularosa and already an already existing project near the landfill. New Mexico is becoming a respected location for renewable technologies. For example, Maxeon Solar selected Albuquerque as its site for 3-Gigawatt solar cell and panel manufacturing facility, bringing with it 1,800 new highly skilled jobs. New Mexico is becoming a dynamic location for renewable technologies. Other areas are also benefitting. Maxeon Solar selected Albuquerque as its site for 3-Gigawatt solar cell and panel manufacturing facility, bringing with it 1,800 new highly skilled jobs. GE just announced it will build hundreds of turbines for the largest wind project in the Western Hemisphere, with tower manufacturing in New Mexico. And Arcosa, an infrastructure manufacturer, has announced it will build a new factory in Belen, NM as part of a contract for $750 million for wind turbine towers.

New Mexico with a focus on new fuel creation can continue to lead the nation in fuels production in the 21st Century helping to further ensure continuity of a fuel energy driven tax base to support the state governmental budget.

GE just announced it will build hundreds of turbines for the largest wind project in the Western Hemisphere, with tower manufacturing in New Mexico. And Arcosa, an infrastructure manufacturer, has announced it will build a new factory in Belen, NM as part of a contract for $750 million for wind turbine towers.

House Bill 41 (HB41) amends Sections 3, 7, and 8 of the Environmental Improvement Act and creates a new section of the Environmental Improvement Act to provide the Environmental Improvement Board (Board) the authority to adopt rules setting a carbon intensity standard for transportation fuels and requires the New Mexico Environment Department (NMED) to maintain, develop, and enforce the carbon intensity of transportation fuels rules. HB41 directs NMED to convene an advisory committee with stakeholders from in-state and out-of-state producers of transportation fuels, transportation fuel distributors, local governments, utilities, tribal governments, environmental protection groups, environmental justice groups and other individuals or entities with relevant expertise to provide input and periodically review program rules.

Per independent analysis, if HB41 is not approved, New Mexico will need to seek alternative strategies to reduce greenhouse gas emissions from the transportation sector to meet the state’s greenhouse gas emission reduction target for 2030 and beyond. Other strategies may not bring the estimated $470 million in economic investment and more than 1,600 permanent jobs to New Mexico.

If HB41 is not passed, New Mexico may lose public and private investment in clean fuel opportunities as innovation and development become diverted elsewhere.

Per further analysis, Implementation of HB 41 would lead to increased investment in alternative fuel production and distribution infrastructure, including but not limited to gas stations providing ethanol, hydrogen fuel cells, and charging stations for electric vehicles. These infrastructure investments would, as well as encouraging clean vehicle adoption by New Mexico residents, enable New Mexico to more easily comply with federal law and with Governor Lujan Grisham’s Executive Order 2023-0138

New Mexico has the potential to continue to lead the nation in energy production. Championing with early adoption better positions New Mexico for jobs creation in the alternative fuels marketplace.